Fort Worth daily gazette. (Fort Worth, Tex.) 1882-1891, 1887-07-31
BAD BANK FAILURE.
The Columbian Bank Of Philadelphia,
State Institution, Makes
an Assignment.
The Immediate Cauge OF the Failure
the Tying Up OF Thousands Of Dol.
lars OF the Banks Money.
Small Dcpositors VIII be the Chief Suffer
ers-Three Large Firms Make an
Assignment at Chattanooga.

PHILADELPHIA, PA, July G0.-The Co.
! lumbar Bank, & state institution, closed
its door this morning and on the door
notice was posted stating by order of the
board Of directors the bank will make an
assignment to S. Edwin Megsrgee, and F.
P. Herman. 1t is believed, however, that
the failure is 6 complete che.
PHILADELPHIA, Pa, July 30.-The
checks OF the Columbian bank We're
thrown out by the Farmers, and
Mechanics National Bank because Of the
lack of funds. 1t has been known for
some days that the Columbian Bank was
in 6 precarious condition and there have
been several rumors rs to its suspension,
both here ard IN New York. For some
time past the bank hss been doing consid-
cradle business for Messrs. Henry S. Ives
6 Co., and recently its aCceptances
for them amounted TO IS much as $780,
900 at time. The bank officials refused
to state the amount of their business
with the bank since the payment of the
500, 000, and reiterated the statement
that the institution was fully protected.
| Other money of the bank is tied up il adj.
vauces on drugs and other articles OF
merchandise from Mexico, which at this
time it is impossible TO real.Ze upon, and
which the consigneeS are not sble to pro-
tect. A gentleman in a position TO know,
who is not sn official OF the bank said th&t
he supposed the liabilities would be
from 100000 to $1,000 and that tie
| persons who had made small deposits il
! the bank would be the chief sufferers.
The trouble was apparently pTecipiteteG
! by the failure of Ives & Co. to honor g
draft tor $4,000 drawn on them by the
| Columbian bank. The bank has branch
savings bank in Germantown largely psf
ronized by mil! operators and other work
iDg people.
IVES NOT THE CAUSE OF THE FAILURE.
NEW YORK, July 30.-George Styner
of the firm of II. S. Ives & Co., denies
that any dealings with his firm emGarras-
sed the Columbian bank Of Philadelphia,
and he states that the bank is indebted to
his firm in the sum of 5000 Ives, he
says, has gone 10 Cincinnati to attend q
railroad meeting.
BIG SUM OF MONEY TIED UP.
PHILADELPHIA, Pa, July 30.-A gentle
man who is in a position to know said TO
G reporter this afternoon: "The status
OF the affairs IS just this, when
the negotiatiatlons for the purchase
OF the Baltimore and Ohio
stock from Robert Garrett were in
progress Ives deposited a considerable
amount OF money as g margin or pre-
MUM, and when the negotiations were
declared at gu end Ives did not get his
money back and Garrett went to Europe,
thus leaving il tied up for some
time at least. Therefore Ives
WAS considerably crippled and was
probably unsble to settle with the Col
umbian. A solicitor for the bank states
that there are probably 100000 funds
tiedssp in merchandise which was bought
Fin foreign countries on letters Of credit
issued By the Columbian, and the bank
paid the drafts attached to the bills Of
lading When presented. They were IN
able to realize on these goods, end they
are now in storage.
CONSOLIDATED EXCHANGE FAILURES.
NEW YORK, July 30.-The Posts flnan-
Cial article says the attack on the market
Was strengthened by the suspension of
the Columbian bank of Philadelphia,
which it is claimed supplied considera-
bic proportion of the money by which
Henry S. Ives & Co, have been enabled
to carry on their negotiations for some
NlLiiC. l. W3o NAallIIt WHO llO1sIlDS ny
Ives friends that the Columbian bank
vas indebted to the firm Of II S Ives &
CO. TIE general belief is that the account
stands the other way. NJ. D. C&mesu,
member OF the consolidated exchange,
has failed. Two hundred shares of New
York and New England stock were sold
for him under tde rule. j. G. Helm, an
other broker in the consolidated exchange,
hos fSilGH EIpt-an blIpIrAI nd
shares OF st. Paul, aud 120 shares Of Lake
shore were sold out under the rule for
his account. Late yesterday afternoon
reports were flying around that H. Ii.
Powers was in trouble, and that lie would
bring down the brokerage firm of Gerald
& Henry. MIR. Kennedy, of the firm Of
81. l. Nichols & Co., hearing the rumors
in regard to Powers standing, called
upon the firm for the deposit OF per
cent margin, which he was entitled to on
500 share contract Of the firm which he
held. He could not find any member of
The firm, and was unable to get check
for the amount. Mr.. Kennedy cid not
care to wait, and sold the 500 shares in
the stock exchange for the account of
Gerald & Henry. The price obtained was
80, and the loss on the transaction to the
! firm was only 1875. Gerald Henry
said that the whole thing was 8
blunder, and that the house had
not suspended and did not intend
to. 1t was said that Powers was simply
little pressed for money and had gone
to one OF his uncles, who is reputed to be
worth 81, 800, 900, and expected to raise
sufficient money to relieve the pressure.